This Ignored Stock Indicator Just Flashed Green (Time To Buy!)
Forbes·2025-11-22 14:35

Core Insights - The media's focus on generating emotional responses has led to a distortion of factual data, particularly regarding generational narratives and housing market trends [3][4][5] - A data-driven approach reveals that the average age of first-time homebuyers is actually 36, contrary to the National Association of Realtors' claim of 40, indicating a younger demographic entering the housing market [6][8] - The CNN Fear and Greed Index shows that despite media-driven fears, stock performance remains strong, with a 13.5% increase over the past year [12] Housing Market Analysis - The narrative that baby boomers are blocking younger generations from homeownership is based on misleading data, as the NAR's methodology skewed results due to low response rates [7] - Alternative data sources, such as the Census Bureau and Federal Reserve, provide a more accurate picture of first-time homebuyers, showing a younger average age than reported by the NAR [8][9] - The average age of repeat homebuyers has increased from 44 in the early 2000s to 48 in 2024, reflecting an aging population [8][9] Market Sentiment Indicators - The discount to net asset value (NAV) for closed-end funds (CEFs) is currently at 5.3%, narrower than the long-term average of around 7%, suggesting that fear in the media is not leading to significant selling pressure [13][14] - The current market sentiment, as indicated by the CNN Fear and Greed Index, contrasts with actual stock performance, which remains positive despite heightened fears [12][14]